Governor Seyi Makinde of Oyo State has raised fresh concerns over the withholding of Nigeria LNG (NLNG) dividend funds meant for States, describing the delay as a major setback for subnational development planning and long-term infrastructure investment.
Speaking on Friday at the Year 2027 Budget Stakeholders’ Consultative Engagement, held at the Olola Ogunlana Hall, International Conference Centre, University of Ibadan, the governor disclosed that each State is entitled to a refund of N250 billion from NLNG dividends. He noted, however, that the funds had been withheld until after the 2027 elections, an action he said, undermines economic expansion efforts across the federation.
Governor Makinde explained that his administration had already identified strategic projects that would accelerate Oyo State’s economic growth once the NLNG funds were released. He questioned the rationale behind delaying the payments. He said, “Each State was supposed to get N250 billion. We had already identified projects that would expand Oyo State’s economy. But they have now said the money will not be paid until after the election.
Is the election more important than the people of Nigeria?” The governor’s remarks framed the NLNG dividend issue as central to the fiscal realities confronting states. He noted that rising costs of governance and infrastructure have placed additional pressure on state budgets. He added that Oyo State’s wage bill had grown from N4.5 billion in 2019 to N18 billion in 2026, while the cost of major projects has skyrocketed due to inflation.
Governor Makinde argued that timely release of NLNG dividends would help States cushion these pressures, maintain project pipelines, and sustain economic momentum. Turning to the broader consultative engagement, the governor said his administration understood early that infrastructure development is the foundation for economic growth. He noted that such investments have significantly increased the value of assets across the